SPDR S&P 500 (SPY)

[NetNeutral]

Ok Dog, some thoughts, some questions, and some comments...

First off, I've put our trades into me-daily Trade file format so Everyone can Understand the -$Cost, Gains and/or losses, but more importantly see clearly each trade and its respective Expiration date!

I've also numbered each trade so when eye comment on a trade eye can use the trade # for reference??

So let's get started...

My first impression was, Wow, an option trader that has TWO positions out of FIVE that are Longer-Term, that's Impressive(trade 2 and 3)! In addition, these TWO trades are Opposing positions, AND, you have a $2.00 Spread between the Strikes, now that's REALLY Impressive!!!!

You're ALREADY in the TOP 30% of traders when ranked by Skill-Set, that's a VERY SMALL Pool of Traders!! WHY, because the BOTTOM 70% would NOT have a $2.00 spread where BOTH positions occupy the SAME Zone, 302/304!! In other words, BOTH positions Cover the 302-304 Zone meaning you have DOUBLE-COVERAGE between 302-304, WOW!!!!

So many traders(70% pool), would rather buy the cheaper Out-of-da-Money puts and calls, like 290 puts and 294 calls, and Leave the 290-294 zone Empty as far as coverage goes, these trades lose money 80% of the time, OUCH!! Buying Deep-in-da-Money options(especially if your trading 1 to 4 contracts), is esential in increasing ones odds of having a profitable trade(Especially if they oppose each other and have Off-Set Expiration dates), so good for YOU!!

Eye have ZERO issue with Both your #1 and #5 trades, don't know exactly when you entered them but the #1 is very appropriate for the current Sell-Signal issued 5/1 and the #5 trade is a No Brainer considering the current Up-Trend and the 320 target for this year!

That said, trades 1 and 4 have my attention, two reasons…
1) They are BOTH Short trades
2) They are BOTH Short-Term trades with #1 expiring in TWO Days, and # 2 Expiring in SEVEN Trading days

Why my attention, well, Spy tagged 289 today meaning trade #1 had a $680 profit at the Open, and trade #4 was up $500 and SERIOUSLY in da-Money, Right! So, since trade #1 has a 5/15 expiration and trade #4 is on the verge of Literally PRINTING $Coins, there was Absolutely NO REASON to HOLD trade 1, Why, because "IF" Spy was to keep falling your Shorter Term trade 4 2970 Spx puts would SKY-Rocketed Up in Value and had a Ridiculous GAIN! When you have Longer Term Options along side of ST Options and price goes in your Favor, EXIT the Longer Term Options and COLLECT the Premium(this is know as SELL-ing Premium)!!!!


In addition, trade 2(a Deep in-da-Money 6/3 Spy 304 put), would have still been in your portfolio and been collecting coins on a continuation DOWN so No Reason to HOLD those 5/15 puts!!

On that note, trade 4 has Absolutely, Positive-ly, got to be SOLD SOON as it expires in TWO trading days or 15 hours of trading! There are TWO events that should trigger you to EXIT your trade 4, either a move up in value to $94.00($9400), which will yield a gain big enough to PAY for trade 5(we like paying for other trades, Right), OR, TIME, TIME, and TIME Decay(Holding ANY Option into the Actual Option Expiration day is NOT a good idea, ANYTIME, UNLESS, you've Already PAID for said position with profits from other trades)??

In Summary, eye REALLY Like this port, ST, LT, Deep-in-da-Money, Opposing Positions with a Short Bias on the near-term options and Long bias on the longer dated Options, NICE!!! I especially like the 12/31 position as it probably has a Great Potential to become a ROCK in your port that will allow you to take Opposing poitions from Jun-Dec of this year, Sa-Wheat!!

Only suggestions, take some profits(BANK-em), and Re-load and/or Roll-Out 7-10 days and keep doing this based on 3-5 dollar swings in price as Spy moves Up and/or Down!? And try to manage your Expiration dates so you don't have many positions expiring in a COUPLE DAYS, UNLESS, you've already banked gains that cover the cost and you want to let-em-run into the Opex??